The Independent Petroleum Marketers Association of Nigeria (IPMAN) has announced that the price of petrol will decrease to N935 per litre starting Monday, following a new arrangement from Dangote Refinery.
IPMAN stated that this new price is a result of the reduction in Dangote Refinery’s fuel ex-depot price and a uniform strategy, allowing marketers to sell at N935 across their outlets nationwide.
Alhaji Maigandi Garima, IPMAN’s National President, shared this information on Sunday during an interview with the News Agency of Nigeria (NAN) in Abuja, praising Dangote Refinery for this development.
According to NAN, Dangote Refinery recently implemented a substantial fuel price reduction of 7.27 per cent, dropping from N970 per litre to N899.50 per litre at its loading gantry, while also offering favourable credit terms to marketers.
To ensure that the price reduction reaches consumers, it has partnered with MRS to sell petrol from its retail outlets nationwide at N935.
This price cut, implemented by Dangote Refinery to ease transport costs during the festive season and beyond, has already started in Lagos and will be rolled out across the country from Monday.
“Dangote Refinery has introduced a new loading and pricing arrangement whereby marketers will pay a fixed ex-depot price of N899.50.
“The refinery is operating a programme aimed at standardising fuel consumption across the country. We anticipate that this new arrangement will commence on Monday.
“We have been loading from Dangote Refinery, and this initiative is beneficial for us during the festive period,” he remarked.
Garima noted that previously, the loading cost at Dangote Refinery was N970 per litre, but with the new agreement, prices will fall to N935 by Monday.
He explained that the current competition in the downstream sector is expected by marketers due to deregulation, and this will lead to continued price decreases.
“That is why we have been urging the government to permit private sector participation in the refining business.
“More refineries are on the horizon, which will likely lead to further price reductions in the downstream sector,” he stated.
He recalled that during the 2023 festive season, petrol sold for N2,000 per litre in the Northern and Eastern regions due to reliance on imported fuel at that time.
He added that the highest current price for petrol in those areas is N1,100, thanks to domestic refiners now operating.
“Once Warri and Kaduna refineries resume production, consumers will enjoy lower prices, which is ultimately beneficial for the economy,” he added.
He also commended the Naira for the crude swap deal, calling it a positive development for economic growth.
NNPC Ltd. has also reduced its fuel ex-depot price from N1,020 to N899.
This decline in fuel prices is a response to deregulation and increased competition within the industry.
